Development Tactics And Risk Prevention Of Intermediate Business Of Jilin Branch Of Industrial And Commercial Bank Of China

The development of the intermediate business is an important sign of modernization of commercial banks and finance. Intermediate business has become the third major business of western commercial banks, which follows deposit and loan business. In recent years, Although Jilin Branch of Industrial and Commercial Bank of China (ICBC's Jilin Branch Bank) has made certain achievements on the intermediate business, it differ greatly in developing scale, business scope, variety of business and business income, compared with western commercial banks. Therefore, for ICBC's Jilin Branch Bank, exploiting the intermediate business in a more powerful manner and creating the new point of growth of profit have very important meanings for improving the benefit of managing and improve the level of financial service. There are five chapters in this article. The first chapter one summarizes the basic theories and knowledge of intermediate business of commercial banks, introduces the meaning, characteristic and classification of the intermediate business of commercial banks briefly, and expatiates the risk of the intermediate business and the reasons that the intermediate business produced and developed. According to different standards, the intermediate business can be divided into different kinds. The intermediate business has brought the risk too while bringing the considerable income to commercial banks. Once the implicit risk of intermediate business is turned into the realistic risk, it will cause losses that can't be remedied to banks. The production and development of the intermediate have inseparable relations with the development and evolvement of financial industry. The second chapter investigates the current situation of intermediate business of the domestic and international commercial banks and the experience of risk management of the western commercial banks. The intermediate business of western commercial banks has been already riper. Not only it is various in style, and has the large proportion accounted for in the gross income, but also service is advanced, and employees have high quality. Though the intermediate business of commercial banks of our country has obtained certain development in recent years, but compared with commercial banks of developed country in the west, there is greater disparity no matter on the quantity and on quality. At the same time, considering the fierce and sudden risk of intermediate business, the commercial banks of western countries strengthen the control over this business one after another, and seek the method in which they can supervise and control the risk of the intermediate business actively since later stage of the eighties of the 20th century. Through the exploring of nearly 20 years, they summarize some effectual measures and method of control. The third chapter analyses the current situation and existing problem of ICBC's Jilin Branch Bank in detail, and puts forward the necessity of developing the intermediate business in a more powerful manner. In recent years, although ICBC's Jilin Branch Bank has made great progress in intermediate business by utilizing existing advantage of fund, technology, site, settlement and etc, popularizing the development and application of new technology, new products, new service item in a more powerful manner, exploring the new method of service actively, advocating the new conception of service, and expanding the business field in a more powerful manner, there exists some problems, such as behindhand idea of managing, unreasonable structure of products, the lacking of the expenses standard, the lacking of business combination, the weakness of base of business management, and the incomplete supporting of technology and talents. ICBC's Jilin Branch Bank can not merely increase business income and profit, and can also improve the business risk of the bank, and improve one's own competitiveness by developing the intermediate business. The fourth chapter explains in detail the tactics that ICBC's Jilin Branch Bank should adopt in order to develop intermediate business. First, it must pay close attention to the development of the intermediate business from the thought and development strategy, change the traditional management conception of the excessive reliance on asset-liabilities business formed under planned economicsystem completely, make great efforts to establish the management conception of the modern commercial bank in conformity with market economy, and look upon intermediate business as the third major business following asset-liabilities business. Second, according to the progressive principle step by step, it confirm rational developing stage and phased development goal, and make the scientific development plan. Third, it should stress the focal points of managing. On one hand, it should break through especially in the area of development, put forward the higher demand in developed areas, and implement the area tactics of breaking through especially. The great development of the intermediate business in developed areas will affect the neighborhood and drive the overall area. On the other hand, it should break through especially in the popularization of products, start various kinds of intermediate business products relating with traditional loans and deposits business, and reckon on settlement, agent, bank cards, information consultation, guarantee, intermediate business about foreign currency, management of personal money, and etc. with operation condition and operation foundation as the targets of breaking through especially according to the developing stage of in various kinds of products. Finally, it should make the proper management tactics by considering the actual conditions of every area of Jilin Province.I think, during the process of launching intermediate business, ICBC's Jilin Branch Bank should adopt the following tactics: First, it should implement different tactics of management according to the difference of customer's demands, and structure high-quality customer group of the intermediate business; Second, in order to reach the dynamic optimization of the intermediate business structure, it should implement the development tactics of expanding the market with particular emphasis and withdrawing from some business pointedly according to the principle of advancing sometimes or retreating sometimes; Third, it should strengthen the merger between the business and form the brand advantage of the intermediate business; Fourth, it should strengthen charge management of the intermediate business and increase the income of intermediate business; Fifth, it should strengthen the organizing system construction of the intermediate business, define further the...